Hasbro Reports Fourth Quarter and Full-Year 2009 Results

Hasbro - February, 2010

 
Fifth Consecutive Year of Revenue Growth
Accelerated Growth in the Entertainment and Licensing Segment

Full-Year Highlights

  • Net revenues of $4.07 billion (+1%);
  • Net earnings of $374.9 million (+22%);
  • U.S. and Canada +2%;
  • International -3%;
  • Entertainment and Licensing +44%.

Fourth Quarter Highlights

  • Net revenues of $1.38 billion (+12%);
  • Net earnings of $165.6 million (+77%).

Hasbro Inc. today reported 2009 fourth quarter and full-year results. For the fourth quarter 2009, the Company reported net revenues of $1.38 billion, an increase of $144.1 million or 12%, compared to $1.23 billion a year ago. The Company reported net earnings for the quarter of $165.6 million, an increase of $72.0 million or 77%, compared to $93.6 million in 2008.

k>For the full year 2009, the Company reported revenues of $4.07 billion, an increase of $46.4 million or 1%, compared to $4.02 billion a year ago. Net earnings for the full year were $374.9 million, an increase of $68.1 million or 22% from $306.8 million in 2008.

"We are extremely pleased with our fourth quarter and full-year results that demonstrate Hasbro's strategy is working," said Brian Goldner, President and Chief Executive Officer. "The Hasbro teams around the globe performed at a high level in 2009, delivering innovation and strong marketing programs to our consumers and retailers. The result is our fifth consecutive year of revenue growth, achieved in a challenging global economy. Continued investments in our business, including the joint venture with Discovery Communications to form The Hub television network, the creation of Hasbro Studios, establishing a local presence in emerging geographies and securing long-term key licenses, position us not only for the success we had in 2009 but over the long term as we execute our branded play strategy globally."

"As we continue to execute our strategy to re-imagine, re-invent and re-ignite our global core brands, we believe we should be able to grow revenues for the full year 2010, including the dilution from our television investments and absent a deterioration in consumer spending, global economic conditions or the value of foreign currencies," concluded Goldner.

For the full year 2009, the Boys product category grew 9% to $1.47 billion; the Games and Puzzles category increased slightly to $1.34 billion; the Girls category declined 5% to $790.8 million; and the Preschool category was down 1% to $451.4 million.

U.S. and Canada segment net revenues were $2.45 billion, an increase of $41.2 million or 2%, compared to $2.41 billion in 2008. The results reflect a strong performance in the Boys and Preschool categories partially offset by declines in Girls and the Games and Puzzles categories. The U.S. and Canada segment reported an operating profit of $380.6 million compared to $283.2 million in 2008.

International segment net revenues were $1.46 billion, a decrease of $39.9 million or 3%, compared to $1.50 billion in 2008. Revenue in the International segment reflects growth in the Boys category offset by declines in Preschool, Girls, as well as the Games and Puzzles categories. The International segment reported an operating profit of $162.2 million compared to $165.2 million in 2008.

Entertainment and Licensing segment net revenues were $155.0 million, an increase of $47.1 million or 44%, compared to $107.9 million in 2008. Revenue in the Entertainment and Licensing segment reflects growth in lifestyle licensing and digital gaming. The Entertainment and Licensing segment reported an operating profit of $65.6 million compared to $51.0 million in 2008.